VinaCapital-linked fund becomes major shareholder in Kido Group amid stock slump

Liva Holdings Limited, which is linked to leading Vietnam-focused fund management firm VinaCapital, has increased its holding in food manufacturer Kido Group to 5.95% to become a major shareholder amid its stock declines.

Liva Holdings Limited bought 8.62 million shares of Kido Group (HoSE: KDC) on August 14, doubling its holding in the latter to 17.24 million shares, or a 5.95% stake.

Meanwhile, Vina QSR Limited, linked to Liva Holdings Limited, now holds a 1.05% in KDC. As such, the two funds own a combined 7% in the Vietnamese firm.

KDC shares closed at VND55,500 ($2.23) on Monday and were staying flat at the time of writing. This price is the lowest since March 2023 and 17% lower than at the beginning of this year.

The stock fall is attributed to the group’s underperformance. Kido Group earned a consolidated net profit of VND1.76 billion ($70,760) in Q2/2024, down 99.8% year-on-year.

In H1/2024, the company posted a consolidated net profit of VND11.29 billion ($453,250) on revenue of VND3,532 billion ($141.45 million), down 98% amd 19% year-on-year.

For this year, Kido aims to rake in revenue of VND13 trillion ($510.75 million), a year-on-year increase of 50%, and a pre-tax profit of VND800 billion ($31.43 million), 2.5 times the 2023 figure.

As such, with the H1 results, the group achieved only 27% of the revenue target and 7% of the profit plan.

Kido is a major player in the segments of ice-cream, cooking oil, and plant-based butter. In October 2023, Kido raised its holding in Tho Phat Quoc Te JSC Company, which is famous for steamed buns in the southern region.